Home ownership has become even less affordable in Prince Edward Island. Many islanders wonder if they will one day be able to buy their first home.
The Canadian Real Estate Association (CREA) indicates that the overall price of houses in this province increased by 8.5% in 2021.
Already from 2020 to 2021, Prince Edward Island recorded a 22% jump in value of its properties.
the islander Parker Snow declares that this situation forces him to continue to be a tenant, even if he and his partner work full time.
The average price of houses is far too high for their value. It’s so over the top it’s almost not worth looking uphe says.
Parker Snow adds that it’s difficult to qualify for a mortgage when housing rental prices are extremely high in the province.
© TONY DAVIS/Radio-Canada
Parker Snow and his partner work full time, but he can’t afford to buy a house.
The real estate agent Mary Jane Websterof Charlottetown, says there are no signs of a slowdown in sight.
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As long as supply is low and demand is high, prices will riseshe says.
Increased demand
With the real estate market overheating, many offers are being made on each home by potential buyers. Some of them, outside the province, buy the properties before they even visit them.
Mary Jane Webster indicates that according to data collected in February, new homes in Prince Edward Island are built and sold within an average of 44 days.
In addition, the province recorded a 30% increase in construction costs compared to previous years. Builders are now asking $300 on average per square foot.
For people looking to buy a home worth around $300,000, the market is getting tighter, confirms Mary Jane Webster.
Prices are particularly high in the Charlottetown area.
According to Mary Jane Websterpotential buyers are more likely to find something in their price range, out of town.
With information from Tony Davis from CBC